[ISN] Report: A Flaw In Visa’s Contactless Card Lets Anyone Charge It $999, 999

http://gizmodo.com/report-a-flaw-in-visas-contactless-card-lets-anyone-ch-1653974432 By Kelsey Campbell-Dollaghan Gizmodo.com November 3, 2014 Contactless credit cards are a hit in the UK. But a British research team has revealed a serious security flaw that allows anyone to charge up to $999,999.99 in foreign currency to a nearby card, even while it’s still in a wallet or purse. Contactless cards let you buy things without a pin, up to a certain limit (£20 in the UK), thanks to radio waves emitted from the card and picked up by a nearby terminal. But according to a team from Newcastle University, there’s a serious security flaw in at least one major company’s contactless system. At the ACM Conference on Computer and Communications Security, which is going on this week in Arizona, the team explained how it’s easy to set up a point-of-sale terminal using a phone, then create a transaction of up to $999,999.99. Crucially, the payment amount must be requested in foreign currency, otherwise the £20 limit will kick in. Here’s a video of the lead author, Martin Emms, demonstrating the hack for the BBC. “By pre-setting the amount you want to transfer, you can bump your mobile against someone’s pocket or swipe your phone over a wallet left on a table and approve a transaction. In our tests, it took less than a second for the transaction to be approved,”said lEmms in a release about the study. “All a criminal would need to do is set up somewhere like an airport or the London underground where the use of different currencies would appear legitimate.” […]